Hawke’s Bay RSE employers celebrate improvements to scheme flexibility and worker cap increases

Immigration Minister Erica Stanford visited Hawke's Bay with Tukituki MP Catherine Wedd in March to discuss the RSE scheme. Photo / Catherine Wedd

Hawke’s Bay growers have welcomed a raft of changes to the Recognised Seasonal Employer (RSE) scheme announced by the Government this week in a comprehensive adjustment to be introduced next month.

The cap on the number of workers is increasing by 1250 to 20,750 for the 2024/25 season.

A pause on accommodation cost increases which has been in place since 2019 will be lifted and a permanent framework developed.

The requirement to pay RSE workers 10% above the minimum wage will also now only apply to experienced workers in their third season onwards.

Other changes mean Timor-Leste will be included in the scheme, worker visas will allow multiple entries during a season, RSE workers will have more flexibility to move between employers and regions and undertake training and skills development not directly related to their role, employers will be required to pay workers an average of 30 hours a week averaged over four weeks, and RSE workers will no longer have to be screened for HIV to align with other temporary visa requirements.

Most changes will be in place in early September.

John Evans, manager of Hawke’s Bay-based apple, pear and kiwifruit grower R J Flowers, said the increase to the cap was positive for the Hawke’s Bay region.

Evans had an allocation of up to 45 RSE workers for his business. He did not intend to seek an increase to his allocation, but he believed the overall cap increase would help others.

“I think there would potentially be businesses that have been waiting to be part of the RSE scheme but haven’t been able to because of the cap in place, so this is an opportunity for them,” Evans said.

“Our big focus is to be employing New Zealanders first, obviously.”

Cameron Taylor, a fourth-generation orchardist of Taylor Corp, said the changes would be met by Hawke’s Bay growers with great relief.

”We are really pleased with the announcement of policy changes to the RSE scheme. They may seem small but they’ll make a big difference, especially when the industry in Hawke’s Bay still has some cyclone recovery ahead,” Taylor said.

“We have been involved in the scheme since the outset and, as a company that has deep roots in Hawke’s Bay across multiple generations, the scheme has helped us grow and diversify. We wouldn’t be here without it and we look forward to working alongside our Government to ensure the long-term.”

He said the introduction of multi-entry visas was a “highlight” for their staff due to the flexibility they gave for urgent trips back home.

Tukituki MP Catherine Wedd said Hawke’s Bay recruits over 40% of the RSE workers in the country.

Wedd said in a statement “millions of dollars of export quality fruit” was left to rot on the trees, because the RSE cap wasn’t increased by the previous government.

“The RSE scheme provides an experienced labour force for peak season demand which enables our horticulture industry to grow and create more permanent jobs for our local people in Hawke’s Bay,” Wedd said.

“This is welcome news, especially as our growers are still recovering from Cyclone Gabrielle, which devastated our horticultural sector.”

Nadine Tunley, chief executive of Horticulture New Zealand (HortNZ), said in a statement HortNZ was particularly pleased about the changes to the accommodation and remuneration requirements.

“These were only brought in by the previous government as temporary measures during Covid-19 when RSE workers were able to come to New Zealand under Managed Isolation and Quarantine (MIQ). This reset will be appreciated by our growers,” Tunley said.

“We believe in the same pay for the same jobs in horticulture. However, in addition to minimum wage, pay rates for many visa categories have been moving towards the median wage, even if the jobs are not median skills. This has created a pay disparity between New Zealand workers and migrant workers.”

New Zealand Apples and Pears chief executive Karen Morrish said in a statement 11,000 seasonal workers were employed at the peak of the apple and pear harvest in picking and packing roles during 2022, supporting more than 3600 permanent employees.

“RSE workers send home more than $116 million in earnings a year. This income has built homes, sent children to school, covered life-saving medical treatments, enabled villages to access fresh water, and fed into local Pacific economies,” Morrish said.

James Pocock joined Hawke’s Bay Today in 2021 and writes breaking news and features, with a focus on the environment, local government and post-cyclone issues in the region. He has a keen interest in finding the bigger picture in research and making it more accessible to audiences. He lives in Napier. You can contact him via james.pocock@nzme.co.nz.